I think you all are confusing Templates with simple server side including oh header and footer files. Templates are actually chunks of html code with placeholders in it, then you use a template engine like FastTemplate or PHPLIB's tempalte class to define and use the templates. For instance you have a user admin page that has something like
So you could use a template engine to read in the template and fill in the labels with data from somewhere and then print it to the screen. To do this with PHPLIB something like this
//Contents of templatefile.ihtml
$t = new Template;
$t->set_var("name", "Bob Smith");
Which wold produce the following html
This is a very simple and crude example of what can be accomplished with the templates.